Income
gap, just for illustration (credit to Vanguard)
For
my international friends, in case you did not know, Income annuity is
an investment to provide monthly income which last for life time.
This
is a kind of guaranteed income to avoid outliving of our income. We
may get income payment as policy signed. People usually get regular
income in the future, especially after retirement ages.
There
are two choice: fix or variable regular income. Variable may
fluctuate which depend on market interest.
Then,
Why Income Annuity is Getting Favorite? Here the reasons:

filling the gap of income after retirement

may last for life or until age of 85 (depend on policy we chose)

no annual contribution limit, while retirement accounts of 401(k) and
IRAs have limitation.
Calculation
of annuity payments
For
better understanding, let’s say we buy US$ 100,000 annuity policy.
How much regular monthly payment if we start to receive annuity
income at age 60 years old?
We
do simple calculation based on available formula or using calculator.
Calculation is depending on some factors:

the annuity market rate (offered by insurance agencies) ranges from
3.7% to 8.1%. We choose 6% for example only

We estimated our lifespan reach 85. Thus number of period: 85 years
old – 60 years old = 25.
Hence,
the regular monthly payment is US$ 651.9 (US$ 7822.67 annually). We
receive this payment for 25 years.
If
we wish to get monthly payment of US$ 1500, thus, we need to invest
around US$ 240,000.
How
about if we die before receiving 25 year payment? Our spouse or kids
will get the balance.
good that someone will inherit
ReplyDeleteThank you to visit:
DeleteWhy Income Annuity is Getting Favorite?

Income gap, just for illustration (credit to Vanguard)
This is very interesting, Tanza. You've shared some helpful information, thank you for that. Wishing you a Happy Thursday!
ReplyDelete
DeleteHave a great day to you
Thank you to visit:
Why Income Annuity is Getting Favorite?

For my international friends, in case you did not know, Income annuity is an investment to provide monthly income which last for life time.
Estupendo post!
ReplyDeleteEspero verte pronto por mi blog! Feliz día!
♡♡♡
Thank you to visit:
DeleteWhy Income Annuity is Getting Favorite?

This is a kind of guaranteed income to avoid outliving of our income. We may get income payment as policy signed. People usually get regular income in the future, especially after retirement ages.
Very interesting, thanks for sharing
ReplyDeleteThank you to visit:
DeleteWhy Income Annuity is Getting Favorite?

There are two choice: fix or variable regular income. Variable may fluctuate which depend on market interest.
O
ReplyDeleteThank you to visit:
DeleteWhy Income Annuity is Getting Favorite?

Then, Why Income Annuity is Getting Favorite? Here the reasons:
 filling the gap of income after retirement
 may last for life or until age of 85 (depend on policy we chose)
 no annual contribution limit, while retirement accounts of 401(k) and IRAs have limitation.
it was good to read this article:)
ReplyDeleteThank you to visit:
DeleteWhy Income Annuity is Getting Favorite?

Calculation of annuity payments
It's a very interesting information. Learned today about Income Annuity and why it's getting favorite.
ReplyDeleteTanza, thank you for this information!!!
Thank you to visit:
DeleteWhy Income Annuity is Getting Favorite?

For better understanding, let’s say we buy US$ 100,000 annuity policy. How much regular monthly payment if we start to receive annuity income at age 60 years old?
Good
ReplyDeleteThank you to visit:
DeleteWhy Income Annuity is Getting Favorite?

We do simple calculation based on available formula or using calculator. Calculation is depending on some factors:
 the annuity market rate (offered by insurance agencies) ranges from 3.7% to 8.1%. We choose 6% for example only
 We estimated our lifespan reach 85. Thus number of period: 85 years old – 60 years old = 25.
all of this just gives me anxiety, having to make those kind of decisions
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DeleteWhy Income Annuity is Getting Favorite?

Hence, the regular monthly payment is US$ 651.9 (US$ 7822.67 annually). We receive this payment for 25 years.
I like to see this inPortugal but our salaries are so low!
ReplyDeletexoxo
marisasclosetblog.com
I see...
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Why Income Annuity is Getting Favorite?

If we wish to get monthly payment of US$ 1500, thus, we need to invest around US$ 240,000.
Oh very interesting darling
ReplyDeletexx
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DeleteWhy Income Annuity is Getting Favorite?

How about if we die before receiving 25 year payment? Our spouse or kids will get the balance.
Very interesting, you know so much about the numbers☺
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DeleteWhy Income Annuity is Getting Favorite?

Income gap, just for illustration (credit to Vanguard)
Very interesting, I didn't know that!
ReplyDelete
O diário da Inês  Facebook  Instagram
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DeleteWhy Income Annuity is Getting Favorite?

Good to hear that the balance is distributed:)
ReplyDeleteThank you to visit:
DeleteWhy Income Annuity is Getting Favorite?

For my international friends, in case you did not know, Income annuity is an investment to provide monthly income which last for life time.
It’s always a good idea to plan ahead for retirement. This is very helpful information!
ReplyDeleteThank you to visit:
DeleteWhy Income Annuity is Getting Favorite?

This is a kind of guaranteed income to avoid outliving of our income. We may get income payment as policy signed. People usually get regular income in the future, especially after retirement ages.
Very good idea. Thanks for the information.
ReplyDeleteBest regards
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DeleteWhy Income Annuity is Getting Favorite?

There are two choice: fix or variable regular income. Variable may fluctuate which depend on market interest.
Interesting option.
ReplyDeleteThank you to visit:
DeleteWhy Income Annuity is Getting Favorite?

Then, Why Income Annuity is Getting Favorite? Here the reasons:
 filling the gap of income after retirement
 may last for life or until age of 85 (depend on policy we chose)
 no annual contribution limit, while retirement accounts of 401(k) and IRAs have limitation.
Good info but I am not ready to think about retirement yet. I think my best option is going to be winning the lottery.
ReplyDeleteme too...I would like to win lottery.
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Why Income Annuity is Getting Favorite?

Calculation of annuity payments